Share price of UltraTech Cement Sees Further Gains Post-Q3 Results Amid Capacity Growth

Market Performance

UltraTech Cement's share price extended its rally for the second consecutive session on January 24, 2025, following its Q3 FY25 results. The stock closed 6.81% higher on Thursday and rose during early Friday trades, reflecting positive investor sentiment.

Q3 FY25 Performance Highlights

• Volume: UltraTech reported a solid increase in domestic sales volume, growing 10.5% year-on-year and 9% sequentially.
• EBITDA: Domestic EBITDA per tonne stood at ₹964, reflecting a sequential rise of ₹232 per tonne.
• Profit After Tax: Profit after tax (PAT) for Q3 FY25 came in at ₹1,434 crore, 16.53% lower year-on-year but significantly improved from ₹825.18 crore in Q2FY25.
• Capacity Expansion: UltraTech completed its acquisition of The Indian Cements Ltd., raising its total capacity to 171.11 MTPA. Once the acquisition of Kesoram Cement is finalized, the company expects to surpass 200 MTPA capacity by FY27.

Company Overview and Growth Focus

UltraTech Cement continues to capitalize on demand from urban housing and government infrastructure projects. Its strategic acquisitions and capacity expansions aim to strengthen its position as a market leader. With reduced energy costs and operational efficiency, the company is poised to benefit from the growing cement demand.

Summary

UltraTech Cement's Q3FY25 results showcased robust sequential performance, with domestic sales volume and profitability gains. While year-on-year profit declined, the company's strategic focus on capacity expansion and operational improvements has strengthened its growth trajectory, reflecting its continued momentum.